Fiat vice head says 'discussions' held with Chrysler

AGENCIESJan 20, 2009, 06.41pm IST

MILAN: The vice chairman of Italian auto group Fiat said on Tuesday that the company was in "discussions" with US group Chrysler, news agencies here reported, after trading in Fiat stock had been suspended.

Amid press reports that Fiat and Chrysler are considering a strategic partnership, Fiat vice chairman John Elkann told Ansa and Radiocor agencies that the fact "we were talking about it is not a mystery, and we have been in talks about this for some time."

Elkann, who represents the key Agnelli family on the board of Fiat, said: "We have not yet made a statement. On Thursday there is a (Fiat) board meeting. There is a time for everything."

Earlier on Tuesday, stock market authorities here announced that trading in Fiat shares had been suspended, pending a statement from the company. Fiat is a leading Italian industrial group based mainly on car manufacturing.

Fiat had been widely reported to have been negotiating a strategic partnership with Chrysler, one of the deeply troubled big three US automakers.